Manufacturing Insurance

Businesses in the manufacturing industry should consider carrying the following insurance products to safeguard their facility from common risks and exposures, as well as the resulting financial losses.

• Business income insurance, sometimes called business interruption insurance, covers financial losses if your business is forced to close temporarily due to a fire or extreme weather. It can often be added to a business owner's policy.
• Equipment breakdown coverage, also called mechanical breakdown insurance, is an endorsement to your commercial property insurance or BOP. This type of insurance covers expenses when your facility's equipment or machinery suffers a mechanical failure. One policy exclusion is standard equipment wear and tear.
• Boiler and machinery insurance covers a company’s machinery or equipment. It helps pay for repairs or replacement of damaged equipment in the event of a sudden failure, as well as financial losses to the business.
• Inland marine insurance is a "floater" policy, which means the coverage goes where the insured property goes. It can protect manufacturing tools and equipment that are in transit or stored off-site.
• Environmental liability insurance, also called pollution insurance, provides financial protection from environmental risks faced by your manufacturing company. It helps cover pollution legal liability and cleanup costs.
• A commercial package policy (CPP) combines general liability and commercial property coverage into one policy with more flexible protection. It allows for more coverage options and higher policy limits. This is a good choice for businesses in higher risk industries that might not be eligible for a BOP.
• Trade credit insurance, also called debtor insurance, protects your business against financial losses when customers fail to pay invoices due to insolvency, protracted default, or political events that disrupt international trade.
• Per-location aggregate endorsement gives each of your facilities its own separate aggregate limit, rather than sharing one limit across all of them. This general liability policy add-on can help prevent a major claim at one facility from reducing the coverage available at the others.